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WHAT BIDEN'S NEW $100B PLAN FOR BROADBAND MEANS

April 09, 2021

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AppleMagazine

The problems with U.S. broadband networks have been obvious for years. Service costs more than in many other rich nations, it still doesn’t reach tens of millions of Americans and the companies that provide it don’t face much competition.

WHAT BIDEN'S NEW $100B PLAN FOR BROADBAND MEANS

Now the Biden administration is promising to do something about all of those issues as part of its proposed $2.3 trillion infrastructure package. The plan, which would devote $100 billion to get all Americans connected, is more idea than policy and lacks a lot of important detail.

But it sketches out a striking new vision of activist government measures intended to improve high-speed internet service, following decades in which the government has largely left the job to private companies.

WHAT IS BIDEN’S PROPOSAL?

It would spend $100 billion to “future-proof” broadband as part of an eight-year infrastructure plan, calling high-speed connections “the new electricity” that’s now a necessity for all Americans. (For history buffs, that’s a reference to the Rural Electrification Act — Depression-era legislation that sped the extension of power lines to farms and rural communities.)

It could signal a major policy shift toward lowering the high cost of internet service, rather than just handing money to broadband providers for building out networks. “Americans pay too much for internet,” the plan bluntly states.

It pushes for greater competition that could lower prices, by encouraging and supporting networks owned or affiliated with local governments, cooperatives and nonprofit organizations. Currently, roughly 20 states restrict municipal broadband. Prioritizing such networks could give them a leg up when the government doles out money for extending service.

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